Dx (group) Share Discussion Threads

[markie7] 19/4/2022 07:24

This getting a bit ridiculous now. They should make an announcement to explain what the timetable is, whatever it is.

[marktime1231] 01/4/2022 12:08

On checking filings with Companies House I see that DX are showing a requirement for Annual Accounts with respect to the year-ending 30 June 2021 to be filed by 30 June 2022.

I wonder why. A covid dispensation or relief because the auditor resigned?

The standard legal requirement is that a company has to file accounts and tax liability etc within 9 months of year-end. In breach the Directors are open to a fine or worse.

(As well as being in breach of the listing authority requirement that AA must be filed within 6 months, which is why DX remains suspended).

[swiss paul] 15/3/2022 12:21

Anyone spoken to the company - or have a contact where a call can be made to elicit an update?

[richdm1] 12/3/2022 19:56

That is a very useful dissection - thanks.

[markie7] 12/3/2022 16:44

I was FD of a listed business for 15 years. We always used to announce audited results. I was always uneasy about any suggestion we should accelerate things and do unaudited prelims. This is a really interesting case study. On the one hand, it’s clearly a non financial issue. On the other, it is taking ages to sort out. They will have to get the whole year re audited. So at the very least, once new auditors are appointed, (needs to be announced in this situation, and has not been yet), there will then need to be a whole new audit - maybe taking 2 months. So it’s going to be at least the summer before this gets relisted. Taking it private may be the best option, but in the absence of a floating price it will be hard for non execs to be able to recommend a valuation. It’s a right mess, in short….

[happyvalley1947] 21/2/2022 11:06

I've looked at the company's website under AIM26 but can see nothing that sets out the reason behind the current difficulties with the auditors or when trading is likely to resume.

[effortless cool] 17/2/2022 20:54

fenners66,

I take your point, but the FY premlims were published on 8 November 2021. If the auditors had not agreed to that, then they would have resigned on 8 November 2021, not 2 February 2022.

[stemis] 17/2/2022 20:53

It's nothing to do with bothering 'keeping the working relationship' it's to do with the risk of post 'Preliminary Announcement' adjustments. Anyway at the time the Prelims were issued, there was no issue between the company and GT. That arose subsequent to the Prelims. You need to look at the timeline of events to understand how this matter developed.

[fenners66] 17/2/2022 20:38

EC
That assumes you are interested in keeping the working relationship with said auditor.
If that was already breaking down and you knew how it was going - more so if they were perhaps pointing
their finger at you, would you still be bothered ?

As far as what could possibly be the issue here , seeing what has fooled auditors in the past , some seemingly have been easily fooled , the fact that GT are alarmed and need to do more enquiries , means that the issue could mean anything by the time any investigation has run its course...

[stemis] 17/2/2022 19:20

You can't pretend the auditor has given the next interims "the nod" when they have no auditor!!

Now you are just embarrassing yourself


Having been a risk/governance auditor of plc's much of what you have been saying and presuming about the audit process is false

I've been both a FD of a plc and an audit manager in one of the largest accountancy and audit firms in the world.

[ls24] 17/2/2022 17:39

I would expect something from DX in the next few days, my own experiences of GT would prohibit me dealing with them ever again.

[marktime1231] 17/2/2022 17:20

You can't pretend the auditor has given the next interims "the nod" when they have no auditor!! Not that interim financials will do much good whatever the trading before Christmas, it is how people such as customers, backers and regulators have responded to subsequent events. Would you be doing business with DX in these circumstances?

Having been a risk/governance auditor of plc's much of what you have been saying and presuming about the audit process is false, you may have been an FD but clearly not a very good one because you have ignored all the signals and misread what they really mean. GT reasons, as I already relayed because they were leaked in early Feb, include accusations of criminal breach, falsehoods and obstruction while the auditor still had serious issues to resolve. In those circumstances you should not have faith in the executive or what they say "unaudited".

I think the seriousness might finally be sinking in, even you might finally be getting the message. Too late though if you were still invested when DX suspended.

If the accounts aren't published within 12 months the company and its executive may be in line for proceedings and fines anyway. Unlikely to have much luck onboarding a reputable new auditor, and if the listing authority and company regulator are paying attention to what the statutory auditor has printed in public DX will be subject to external investigation. Actually that may already be live, judging by the use of "privilege" instead of telling us what is the issue.

As to getting emotional, I did get angry with you on behalf of others who may have been fooled by your "balance". I should not have, I saw the signs and got out so it is no skin off my nose, but I do feel sorry for those swayed by false optimism.

[fenners66] 17/2/2022 17:00

Croasdalefc - wow that shows even more disregard.

Well part of the decision to invest in a company or not is how one rates the BOD.
This is doing absolutely nothing to inspire confidence.

[croasdalelfc] 17/2/2022 15:59

The auditors letter is dated 2nd Feb!

[my retirement fund] 17/2/2022 15:42

Hope it works out for you all, sorry to hear about this development, at least you all have a large shareholder on your side I guess.

[amaretto1] 17/2/2022 15:06

In a nut shell they have absolutely no regard for share holders or corporate governance.....This is why the large share holder made sure they were on the board. This is not a trivial matter at all.It's a can of worms...They odviously think they can run a haulage company like they did in the 80s ... ducking and a diving !!

[fenners66] 17/2/2022 14:24

Have I understood that correctly ?

DX have done an RNS to say if you really, really, really want to you can go to their website and make a big effort and find that letter to shareholders from GT?

In a world where RNS's are released all the time giving useless info , they deemed that this letter was merely to be acknowledged as it is reqd by CA 2006 , only begrudgingly made available as required by Aim Rules.....

WTF?

I have not bothered to go to their website , but thanks instead EC as I have read it here.

It's says something about how they judge the letter and more about how they judge the shareholders...

[ned] 17/2/2022 14:00

Good news! These things are normally about money and some mugs who are loosing it. Us. So maybe it won't be happening any more and we'll be getting the money going forward!

[effortless cool] 17/2/2022 13:42

Further to the requirements of section 519 of the Companies Act 2006 we are required to state the reasons connected with our ceasing to hold office.

We are resigning due to serious concerns we have identified during our audit of the financial statements of the Company for the year ended 3 July 2021 (which was our first year as the Company’s auditor). That audit has not been completed. Our concerns relate to the Company’s governance and to executive conduct, specifically arising in connection with:

(i) Actual or potential breaches of law and/or regulations by the Company and/or by an entity in the DX (Group) Plc group and/or by employees;

(ii) The performance of the investigation and subsequent corporate governance inquiry referred to by the Company in its announcement on 25 November 2021, and action in response to the evidence generated by that investigation and inquiry. Our understanding is that privilege is claimed over both the investigation and the inquiry and accordingly we have not set out further details about them in this letter;

(iii) The provision to us of inaccurate information, which did not in our view give a full picture of the scale and seriousness of the facts referred to in (i) and (ii) above, and the insufficient access we have had to relevant information and documents, in relation to the matters being investigated by the Company.

The Company’s Board has failed to make sufficient progress in addressing our concerns.
Given the significance of these matters, we do not consider it appropriate that we continue as auditors.

Auditor Name: Grant Thornton UK LLP

[nigelpm] 17/2/2022 13:34

Quite happy with Shares being suspended for as long as possible - get it all sorted out and then hopefully big move on re-entry upwards!

[stemis] 17/2/2022 13:29

At this rate is going to be a while before the suspension is lifted (need to appoint new auditors and re-complete the audit). Normally DX. would issue interims in early March. Certainly won't be sorted by then. No reason they can't issue interims though in the absence of audit of 2021...

[amaretto1] 17/2/2022 13:14

What's it say ?

[nigelpm] 17/2/2022 13:02

There we go!

hxxps://investors.dxdelivery.com/download/companies/dxgroup/Docs/DX_Group_Plc_Letter_to_Shareholders_14022022.pdf